Economics
India to Boost Spending With Near-Record Debt: Budget Preview
- Survey shows government will raise revenue from asset sales
- Budget gap likely to be narrowed to 6.1% in fiscal year 2023
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India, which is set to regain the world’s fastest-growing major economy title, will likely prioritize growth over fiscal consolidation by boosting spending, according to economists surveyed ahead of Tuesday’s presentation of the nation’s federal budget.
Finance Minister Nirmala Sitharaman will probably increase the budget by about 14% year-on-year to 39.6 trillion rupees ($527 billion) in the fiscal year beginning April, according to the median of estimates compiled by Bloomberg. She is expected to leave tax rates largely unchanged, and instead rely on income from asset sales and a near-record borrowing of about 13 trillion rupees to partly fund the plan, the survey showed.